The Situation Of The Automotive And Auto Parts Industry In Argentina

The globalization of terminal operations and the emergence of multinational auto parts suppliers are the primary challenge for the sector. The training of human resources, specific financing and active support of sectorial legislation are the primary tools to overcome it.

Developing this issue has implicit conditioning factors such as the history of this sector, appreciation for the general public of its products, the image of its technological development. All of them are very justified but without the doubt with a need to analyze the real consequences in the country of these industries. The automotive terminal companies are characterized by their global performance, which allows them to locate their production centers according to their permanent search for new markets and comparative advantages either of the cost of factors such as economic, fiscal and financial conditions of the countries where they are located. Host

In recent years we have seen the significant deployment of units of different brands and models that have been incorporated into the automotive fleet of our country to the satisfaction of users but with the indirect consequences of unproductive scale production for manufacturers of parts of the vehicles.

To be able to pose a view as objective as possible, I try to analyze different aspects of its impact on the development of our country. It is undeniable that the sector in its beginnings was a source of technological development of the metal-mechanic industry both for auto parts and for the manufacturers of capital goods.

It is necessary to consider that over time what we believe “the best” for the country can change depending on the changes in both internal and external environment. What changes are we referring to? For example, the availability of energy resources, the evolution of national integration in manufactured vehicles, the technological spill into the local industry, the commercial balance, the confirmation of the structure of its value network. All these factors must ultimately converge to generate the highest possible welfare of our country as a whole.

Modular provisioning: by which the direct suppliers of the terminals have been reduced significantly by transferring the responsibility for research, design, manufacture, and administration of their network of suppliers with high-performance requirements to the various functional groups.